Docstoc

Saudi Stock Market Report (PDF)

Document Sample
Saudi Stock Market Report (PDF) Powered By Docstoc
					Saudi Stock Market Report
13 October 2010
                                                          Market Snapshots
                      TASI Intra-day Movement                                                          Market Commentary
                                                                              Tadawul extends losses…
                                                                              The biggest Arab bourse Tuesday extended losses due to
                                                                              weak global cues and the absence of any fresh encouraging
                                                                              Q3 announcements. Falling crude prices also kept the Saudi
                                                                              stocks under pressure. Equity markets on Tuesday fell around
                                                                              the world, the yen and the dollar strengthened and bonds rose
                                                                              on concern that China’s growth will cool and US earnings will
                                                                              disappoint. Global investors are eagerly waiting for Fed action,
                                                                              likely in early November, after a succession of negative US
                                                                              economic data has dampened sentiment. Investors expect
 Source: Tadawul Stock Exchange, Official Website
                                                                              further quantitative easing from the Fed that would make
                           Market Summary
                                                                              investment into stocks more attractive. The IMF annual meeting
                    Index                                 Close
                                                                              in Washington failed to secure a currency deal between the US
 Value Traded (SAR)                                        2,205,986,640
 Volume                                                      95,130,282       and China or to resolve imbalances in the world economy,
 Trades                                                            55,259     triggering additional uncertainty in global exchanges, which
 Symbols Traded                                                       143     currently await Q3 results from listed firms. Trading activity took
 Market Breadth                                                    48 : 70
                                                                              a beating in the Tadawul bourse with the market volume falling
Source: Tadawul Stock Exchange, Official Website
                         Indices Summary                                      below the 100mn mark. A total of just 95.13mn shares worth
                                                Change      MTD       YTD     SAR2.21bn        changed     hands.   Declining   stocks    outpaced
             Index                   Close
                                                  %          %         %
                                                                              advancing stocks in the ratio of 70 to 48. The Banking Sector
 Tadawul All Share Index             6,343.86      -0.4     -0.8       3.6
                                                                              shed 0.7% withlarge-caps such as SAMBA, RIBL and Alinma
 Banks & Financial Services         16,387.48      -0.7     -4.0       4.6
                                                                              dropping 0.8%, 1.1% and 0.5% respectively. Al Rajhi closed
 Petrochemical Industries            5,801.76      -0.4     2.9        7.5
 Cement                              3,789.41      0.0      -2.7       -3.2
                                                                              flat. NYMEX Crude oil falling below US$83 per barrel saw the

 Retail                              4,972.46      -0.1     -0.3      13.3    Saudi Petrochemical Sector slid 0.4%. The bellwether SABIC
 Energy & Utilities                  5,480.35      2.7      5.3       30.2    declined by 0.6% to SAR90.25. Alujain, however, bucked the
 Agriculture & Food Ind.             5,502.05      -0.5     -0.3       9.8    overall negative trend and recorded a smart gain of 5.3%.
 Telecom & IT                        1,861.42      -0.5     1.8        3.9    Among the stocks of partly state-owned companies, while STC
 Insurance                            868.45       1.0      -0.8      -19.6   and MA’ADEN slid 0.8% and 0.6% respectively, Saudi
 Multi-Investment                    2,272.20      0.6      0.8        -7.0
                                                                              Electricity rose 3.0%.
 Industrial Investment               5,251.52      -0.5     2.4       11.6
 Building & Construction             3,262.00      0.2      -2.0      -13.0
 Real Estate Development             2,816.58      -0.1     -3.5      -13.7
 Transport                           3,086.44      -0.4     -2.7       -9.2
 Media and Publishing                1,443.38      -0.1     -0.7      -23.8
 Hotel & Tourism                     4,851.50      0.0      -1.1      -17.8
Source: Tadawul Stock Exchange, Official Website
                                                            Regional Market Statistics
                                                                                   Turnover
      Index                 Close            Change %        Volume (‘000)                        No. of Trades       MTD %              YTD %
                                                                                  (US$ ‘000)
 Abu Dhabi SM            2,712.42               -0.3               53,577          30,671              1,095            1.5              -1.1
 Dubai FM                1,742.63               -0.7           161,898             75,022              3,122            3.5              -3.4
 Kuwait SE               7,054.70               0.7            426,183            179,216              6,074            1.0               0.7
 Doha SM                 7,756.27               -0.9                6,277          76,272              2,789            0.8              11.5
 Muscat SM               6,504.34               0.1                 8,285          12,154              1,747            0.5               2.1
 Bahrain SE              1,472.51               0.8                  885              277                38             1.9               1.0
Source: Official websites of the Regional Stock Exchanges




                                                                              1
Saudi Stock Market Report
13 October 2010
                                                        Market Movers & Shakers
                                 Top Gainers                                                                                Top Losers
                                           Closing                                                                                   Closing
                                                            Change        Volume                                                                         Change    Volume
          Company                            Price                                                     Company                         Price
                                                              %            (mn)                                                                            %        (mn)
                                            (SAR)                                                                                     (SAR)

Arabian Shield                                 23.20             8.7        0.79          HB                                          40.00               -4.1       0.75

Alujain                                        19.00             5.3        5.54          Gypsum                                      27.10               -2.2       0.16

Saudi Electricity                              15.45             3.0        8.48          YANSAB                                      40.60               -1.9       2.71

SISCO                                          17.30             3.0        1.43          Alkhaleej Trng                              36.70               -1.9       0.08

A.Othaim Market                                72.75             2.8        0.22          SABB                                        42.70               -1.8       0.10

                             Volume Leaders                                                                              Value Leaders
                                           Closing                                                                                   Closing                       Value
                                                            Change        Volume                                                                         Change
          Company                            Price                                                     Company                         Price                       (SAR
                                                              %            (mn)                                                                            %
                                            (SAR)                                                                                     (SAR)                         ‘mn)

Alinma                                         10.80             -0.5      10.65          SABIC                                       90.25               -0.6     336.47

Saudi Electricity                              15.45             3.0        8.48          Advanced                                    23.95                0.8     134.23

Advanced                                       23.95             0.8        5.59          Saudi Electricity                           15.45                3.0     128.52

Saudi Kayan                                    17.85             -0.3       5.54          Alinma                                      10.80               -0.5     115.28

Alujain                                        19.00             5.3        5.54          MA’ADEN                                     23.15               -0.6     112.52

                                                                                          Stocks consistently gaining / losing over last three
                    52 Week New High / Low
                                                                                                      trading sessions (Top 6)
                                           Closing            New           New                                                      Current             3 Days 3 Days Avg.
          Company                            Price            High          Low                        Company                        Price              Change   Volume
                                            (SAR)            (SAR)         (SAR)                                                      (SAR)                %       (mn)
Saudi Electricity                           15.45            15.45                        Advanced                                        23.95           15.4        5.43

SISCO                                       17.30            17.40                        Assir                                           13.55             4.2       1.18

Gypsum                                      27.10                          27.00          Tabuk Agriculture                               18.10             4.0       0.30

AL Babtain                                  31.70                          31.20          Gypsum                                          27.10            -9.7       0.20

Dar Al Arkan                                   9.45                         9.35          SABB                                            42.70            -6.1       0.12

                                                                                          HB                                              40.00            -5.0       0.36

                 Sector Turnover (SAR ’mn)                                                                         Sector Volume (mn)
                                                                                                                                   1.13
                                         15.10                                                                              6.16           0.08
                                     61.53
                                                 1.39                                                                                             0.14
                             63.29                   3.12                                                            2.86
                    183.31                                                                                        7.42
                                                        227.49                                                                                           12.79

                 60.05                                                            0.990.95
                                                                              3.63       0.56              3.91
                                                                            3.80             18.06
               167.98                                                     5.22
                                                                                               33.18
                                                                                                           7.65
                 89.46                                                   31.13                                3.36                                         34.28
                 113.28                                     1,008.16                        0.50
                                                                            10.41         1.79                    3.09
                                                                                        1.07
                                                                                 7.212.92
                         35.22                                                                                                               2.87
                                       46.63
                          129.96                                                                                            8.55
                                                                                                                                      0.84
                    Banks & Financial Services                          Petrochem ical Industries                    Cem ent
                    Retail                                              Energy & Utilities                           Agriculture & Food Industries
                    Telecom . & Inform ation Technology                 Insurance                                    Multi-Investm ent
                    Industrial Investm ent                              Building & Construction                      Real Estate Developm ent
                    Transport                                           Media and Publishing                         Hotel & Tourism
       Source: Data pertaining to all the tables and charts in this page are taken from Tadawul Stock Exchange, Official Website




                                                                                      2
        Saudi Stock Market Report
        13 October 2010
                                                     Saudi Technical Watch                                                           R: Resistance
                                                                                                                                     S: Support
                                                                                                                                     PP: Pivot Point
      Technical Outlook                          Pivot Table

The TASI on Tuesday closed
                                                  Symbol            R2             R1              PP            S1            S2
around the strong support level
                                                    TASI        6,397.80        6,370.83      6,340.87      6,313.90      6,283.94
of 6,341 (the 125 day SMA).
The Index closed below the 40
                                                 Tadawul All Shares Index
day     DEMA         for    the      second
consecutive          day.     Both         the
MACD and the CCI are giving a
negative signal. The Index may
slip towards 6,300 and 6,240
(38.2%        and      50%          of     the
Fibonacci Retracement of the
current levels). The short-term
outlook is negative as the Index
is trading below the 10 day
DEMA.        The      TASI         will   find
support at 6,320, 6,265 and
6,240        while     it     will        face
resistance at 6,378 6,408 and
6,431.




      Technical Outlook                          Pivot Table


                                                 Symbol        R2           R1              PP            S1            S2

                                                  SABIC    91.25           90.75           90.25         89.75         89.25


                                                 Saudi Basic Industries Corp.

The 10 and 20 day DEMAs are
crossing      each         other     at    the
current level. Both the MACD
and the CCI are trading in a
negative mode. It is better to exit
from the stock and wait for our
next call.




                                                                            3
         Saudi Stock Market Report
         13 October 2010
                                        Saudi Technical Watch

        Technical Outlook           Pivot Table

                                      Symbol            R2             R1            PP            S1            S2

                                        STC            38.87         38.53         38.27         37.93         37.67


                                    Saudi Telecom Co.
STC on Tuesday hit our stop
loss of 38.30 and closed below
it. The stock also closed below
the 10 day DEMA. Both the
MACD and the Stochastic are
giving a sell signal. Investors
may exit from the stock and wait
for our next call.




        Technical Outlook           Pivot Table


                                    Symbol        R2            R1            PP            S1            S2

                                    Al Rajhi   76.67           76.33         75.67         75.33         74.67



Al Rajhi on Tuesday hit our
                                    Al Rajhi Bank
suggested stop loss of 75.75
and closed above it. The stock is
also trading below the 10 day
DEMA. Any closing above the
10 day DEMA would be positive
for the stock. The MACD is
trading in a negative mode. The
CCI is trading at -136. Investors
may exit and wait for our next
call.




                                                                4
      Saudi Stock Market Report
      13 October 2010
                                          Saudi Technical Watch

    Technical Outlook                 Pivot Table

                                        Symbol            R2             R1            PP            S1            S2

                                        SECO             15.78         15.62         15.28         15.12         14.78


                                      Saudi Electricity Co.


Saudi Electricity on Tuesday
surprisingly moved above the
DOJI pattern formed on Sunday.
Both the RSI and the Stochastic
are trading in an overbought
zone. It is better to avoid the
stock for now and wait for our
next call.




    Technical Outlook                 Pivot Table


                                      Symbol        R2            R1            PP            S1            S2

                                      MA’ADEN    23.52           23.33         23.02         22.83         22.52

MA’ADEN on Tuesday hit our
suggested stop loss of 22.90
                                      Saudi Arabian Mining Co.
and closed above it. The stock is
trading below the 20 day DEMA.
The 40 day DEMA (22.70) is
acting as strong support. Both
the MACD and the CCI are
giving       a   positive   signal.
Investors may buy the stock,
with a stop loss below 22.70 (on
a closing basis), for a target of
25.00.




                                                                  5
        Saudi Stock Market Report
        13 October 2010
                                           GCC Technical Watch

    Technical Outlook                 Pivot Table

                                       Symbol              R2            R1            PP            S1            S2

                                        EMAAR              3.98          3.96          3.93          3.91          3.88


                                      Emaar Properties (Dubai Financial Market)
EMAAR on Tuesday formed a
DOJI pattern for the second
consecutive day. The stock hit
our suggested stop loss of 3.91
and closed above it. The stock
is also trading above the 10 and
20 day DEMAs. The MACD
continues to give a positive
signal. Investors may buy the
stock, with a stop loss of 3.90,
for a short to medium-term
target of 4.02 and 4.08.




    Technical Outlook                 Pivot Table


                                      Symbol        R2            R1            PP            S1            S2

                                       ARTC         2.30          2.28          2.25          2.23          2.20



ARTC on Tuesday closed below
                                      Arabtec Holding (Dubai Financial Market)
the 10 day DEMA after a long
time. Both the RSI and the
Stochastic are trading in an
overbought zone. The MACD,
however,    is   giving    a   mild
positive signal. Investors may
sell the stock, with a stop loss of
2.30, for a target of 2.19 and
2.11.




                                                                  6
        Saudi Stock Market Report
        13 October 2010
                                             GCC Technical Watch

    Technical Outlook                   Pivot Table

                                         Symbol            R2              R1            PP            S1            S2

                                           Dana            0.85         0.83          0.83          0.81          0.81

DANA on Tuesday formed a
                                        Dana Gas PJSC (Abu Dhabi Securities Market)
DOJI pattern and continued to
trade in the range of 0.82-0.84.
The stock again closed above
the 10 day DEMA. The MACD is
giving      a    negative     signal.
However, the Stochastic are
trading in a positive mode. Risk
takers may buy the stock, with a
stop loss below 0.82 (on a
closing basis), for a short to
medium-term target of 0.87 and
0.91.




    Technical Outlook                   Pivot Table


                                        Symbol        R2           R1            PP            S1            S2

                                         IQCD     108.80          107.90        107.40        106.50        106.00



IQCD on Tuesday faced strong
                                        Industries of Qatar (Doha Securities Market)
resistance at the 40 day DEMA
(108.30).       The   stock   closed
below the 10 day DEMA. Both
the MACD and the CCI are
giving      a    negative     signal.
Investors may sell the stock,
with a stop loss of 108.30, for a
short-term target of 105.60 and
104.10 (38.2% of the Fibonacci
Retrenchment level).




                                                                   7
      Saudi Stock Market Report
      13 October 2010
                                         GCC Technical Watch

    Technical Outlook               Pivot Table

                                     Symbol        R2          R1     PP       S1      S2

                                       KFIN       1,273       1,267   1,253   1,247   1,233


                                    Kuwait Finance House (Kuwait Stock Exchange)
KFIN on Tuesday hit both our
suggested targets and closed at
the second target of 1,260. Both
the MACD and the CCI are
trading in a positive mode.
Investors may book complete
profits at our suggested level of
1,280 and wait for our next call.




                                                          8
Saudi Stock Market Report
13 October 2010

    Corporate News & Announcements


       Moody's Investors Service has today assigned an Investment Manager Quality (MQ) rating of MQ2 to Jadwa
       Asset Management, a division of Saudi Arabian investment bank Jadwa Investment, reported CPI Financial.
       The rating also takes account of the firm's limited operating history, exposure to "key man" risk and the
       challenges the firm may face in managing growth.


       Simon Eedle, global head of Islamic banking at Credit Agricole has said that Saudi Aramco and Total plan to
       sell $1bn in Islamic bonds in 2010 to fund construction of their joint oil refinery in Jubail, Bloomberg has
       reported. The two partners agreed in June to US$8.5bn in financing for the project at Jubail on the Gulf
       coast. The project to build a 400,000 barrel-per-day refinery will cost more than US$12bn, Salem Shaheen,
       former chief executive officer for the project, said in March.




                                                              9
Saudi Stock Market Report
13 October 2010
                                                                   Tadawul Market Performance & Valuation Table
                          Current   Change     MTD       YTD       52-Week         Volume      Value             Dividend            EPS      Free      Market Cap    Price/                ROA    ROE
            Company                                                                                       Beta               PE                                                P/B   P/CF
                           Price      (%)       %         %         Range           (‘000)   (SAR ‘000)          Yield (%)          (SAR)   Float (%)   (SAR ‘mn)    Revenue                (%)    (%)

 RIBL                      27.30      -1.1     -3.5       1.5      31.20 - 23.40     240        6,576     0.86      4.8      13.1   2.08      48.7         40,950       8.1    1.4   12.4    1.8   11.0

 BJAZ                      16.60      -0.6     -4.0      -13.3     22.35 - 16.00     347        5,767     1.00      0.0      N/A     N/A      67.8          4,980       5.8    1.1   17.5   -0.6   -3.6

 SIBC                      21.75      -1.1     -2.9      20.8      22.50 - 17.55      43         931      0.83      0.0      N/A     N/A      53.7          9,788       6.0    1.3   16.6    0.3    1.8

 Saudi Hollandi            32.60      -1.2     -3.8       8.7      35.70 - 29.20      20         657      0.78      0.0      56.3   0.58      29.3         10,782       6.0    1.8   11.9    0.3    3.1

 Saudi Fransi              46.20      -1.7     -3.1      13.5      49.10 - 40.00      40        1,882     0.96      2.2      13.3   3.47      54.7         33,413       9.3    2.0   11.8    2.1   14.8

 SABB                      42.70      -1.8     -8.2       -1.6     53.00 - 40.00      99        4,276     0.83      2.1      21.2   2.02      32.9         32,025       6.2    2.4   11.5    1.4   11.7

 Arab National             39.10      -1.3     -6.0       -7.8     48.00 - 36.50      31        1,218     1.07      2.6      13.3   2.93      49.1         25,415       7.1    1.7    9.4    2.1   14.5

 SAMBA                     60.50      -0.8     -4.3      19.8      64.75 - 48.30     243       14,669     0.91      2.7      12.2   4.98      50.6         54,450       9.7    2.2   11.6    2.4   18.2

 Al Rajhi                  76.00      0.0      -3.5       6.7      86.50 - 69.00     988       74,518     1.12      3.6      17.3   4.38      49.5        114,000       9.7    3.8   16.2    3.8   22.7

 AL Bilad                  18.80      0.3      -6.9      -10.0     22.40 - 17.90      91        1,718     0.73      0.0      N/A     N/A      77.2          5,640       5.6    1.8   37.7   -1.1   -6.9

 Alinma                    10.80      -0.5     -1.8      -15.0     14.10 - 10.65   10,652     115,283     0.64      0.0      N/A     N/A      69.9         16,200      N/A     1.0    N/A   -0.1   -0.2

 CHEMANOL                  16.00      1.0          5.3    3.9      17.25 - 12.75    3,045      48,553     1.34      0.0      66.3   0.24      50.0          1,930       4.6    1.4   38.5    0.9    2.0

 Petrochem                 18.50      -0.8         4.5   19.0      19.70 - 13.65    1,298      23,905     1.26      0.0      N/A     N/A      17.5          8,880      N/A     1.9    N/A   -0.7   -2.5

 SABIC                     90.25      -0.6         0.6    9.4     108.25 - 76.75    3,730     336,474     1.42      1.7      14.5   6.23      22.6        270,750       2.0    2.4   14.3    6.2   16.4

 SAFCO                    146.50      -0.3         1.7   21.1    149.50 - 112.25      42        6,121     1.03      8.2      15.2   9.62      37.3         36,625      12.8    6.8   17.3   29.4   45.2

 Industrialization         32.20      -0.3         6.3   14.6      33.30 - 20.64    1,253      40,120     1.23      2.1      13.9   2.31      79.9         14,834       1.0    1.8   10.1    3.5   14.2

 Alujain                   19.00      5.3      16.9      10.8      20.40 - 11.65    5,536     102,744     1.20      0.0      N/A     N/A      85.1          1,315      N/A     2.7    N/A   -0.6   -4.3

 Nama Chemicals            10.00      0.5          1.5    -7.4      12.25 - 9.00    1,578      15,658     1.11      0.0      91.0   0.11     100.0          1,285       2.6    0.8    N/A    0.6    0.9

 SIIG                      19.40      0.3          5.4   -10.8     26.40 - 16.40     738       14,308     1.27      2.6      19.4   1.00      88.5          8,730       1.9    1.6   17.9    2.0    7.9

 Sahara Petrochemical      22.85      -0.4     10.1       8.0      28.00 - 17.30     936       21,302     1.30      0.0      21.3   1.07      90.0          6,684      N/A     1.8   82.7    4.8    8.4

 YANSAB                    40.60      -1.9         5.2   21.6      50.00 - 28.60    2,706     110,023     1.33      0.0      30.6   1.33      39.7         22,838      N/A     3.6    N/A    3.4   11.6

 Sipchem                   25.80      -0.8         5.1    8.2      27.10 - 18.65     560       14,399     1.23      3.9      30.7   0.84      82.1          8,600       7.3    1.5    N/A    2.4    4.9

 Advanced                  23.95      0.8      21.0       -3.8     27.70 - 16.60    5,587     134,227     1.28      4.2      20.2   1.18      95.7          3,386       2.0    2.1   10.9    4.8   10.4

 Saudi Kayan               17.85      -0.3         0.8    -1.9     22.90 - 15.50    5,537      98,528     1.37      0.0      N/A     N/A      41.1         26,775      N/A     1.7    N/A    0.0   -0.1

 Petro Rabigh              24.15      -0.4     -2.6      -32.0     39.50 - 22.50    1,736      41,800     1.48      0.0      N/A     N/A      17.4         21,155       0.5    2.6    N/A   -1.6   -9.4

 Arab Cement               35.80      0.3      -0.6      -17.7     47.50 - 32.40      36        1,286     0.74      3.5      19.3   1.86      71.2          2,864       3.9    1.2   10.2    3.7    6.1

 Yamamah Cement            49.80      -0.4     -2.8       5.1      54.50 - 44.20      36        1,790     0.75      6.0      10.5   4.76      87.4          6,723       5.3    2.2    8.9   17.1   20.2
Source: Tadawul Stock Exchange, Official Website




                                                                                                    10
Saudi Stock Market Report
13 October 2010
                                                                    Tadawul Market Performance & Valuation Table
                          Current   Change     MTD       YTD       52-Week         Volume      Value             Dividend            EPS      Free      Market Cap    Price/                ROA    ROE
            Company                                                                                       Beta               PE                                                P/B   P/CF
                           Price      (%)       %         %         Range           (‘000)   (SAR ‘000)          Yield (%)          (SAR)   Float (%)   (SAR ‘mn)    Revenue                (%)    (%)

 Saudi Cement              44.00       0.2     -0.7      -23.5     53.00 - 34.67      32        1,399     0.84      5.3      10.7    4.12      86.4        4,488       3.1     1.5    5.6   13.4   20.7

 Qassim Cement             59.50      -0.4     -8.8      -14.4     79.00 - 59.00      42        2,503     0.74     10.1       9.5    6.24      51.3        5,355       5.4     2.9    7.6   27.3   32.1

 Southern Cement           65.50       0.8     -2.2       -2.2     81.00 - 61.50      15         995      0.60      7.6      13.2    4.97      44.2        9,170       7.0     3.7    N/A   24.9   28.0

 Yanbu Cement              40.30       0.0     -3.4      -16.9     53.00 - 40.00      17         673      0.65      7.4      10.3    3.93      52.5        4,232       4.8     1.8    7.3   12.2   17.7

 Eastern Cement            43.50      -0.2     -3.1      -12.7     53.50 - 40.00      109       4,831     0.59      6.9      10.8    4.04      68.1        3,741       4.6     1.9    8.8   15.8   17.9

 Tabuk Cement              18.10       0.3         0.0    -6.5     21.20 - 17.00      100       1,806     0.63      6.9      13.0    1.39      94.7        1,629       6.0     1.4    9.2    9.8   11.1

 Joufcmnt                  12.60      -1.2     -4.9       N/A      13.85 - 11.30    2,483      31,352     0.00      0.0      N/A     N/A       50.0        1,638       N/A     N/A    N/A   N/A    N/A

 A.Othaim Market           72.75       2.8         4.7   43.3      83.25 - 49.30      221      15,914     1.05      3.4      15.6    4.65      51.0        1,637       0.5     4.7   13.4    7.3   29.9

 Mouwasat                  66.75      -1.1     -1.5       9.0      77.75 - 53.50      35        2,318     0.67      1.5      14.7    4.54      30.0        1,669       3.4     3.7   11.8   13.6   20.6

 SASCO                     12.30       0.4         0.8    -8.2     15.60 - 11.50      49         601      0.85      0.0      18.6    0.66     100.0         554        2.8     1.1    N/A    5.7    6.3

 Thim'ar                   22.20      -0.5     -0.9      -48.1     45.40 - 19.10      91        2,025     0.93      0.0      N/A     N/A      100.0         222        2.1     3.3    N/A   -6.4   -8.6

 Fitaihi Group             11.65       0.4     -0.9      -21.3     18.35 - 11.20      186       2,153     0.92      0.0      39.4    0.30      79.5         583        3.9     0.9   29.3    2.0    2.3

 Jarir                    157.00      -0.3     -1.3      17.4    166.75 - 128.75       6         964      0.56      4.7      15.7    9.99      87.9        6,280       2.3     8.6   16.0   30.4   53.0

 Aldrees                   47.40       0.2         0.0   25.4      48.90 - 33.10      47        2,221     0.87      3.2      14.4    3.28     100.0        1,185       0.9     3.3   11.0   11.4   23.2

 AlHokair                  47.20      -0.8         0.4   27.9      50.50 - 33.20      130       6,156     1.06      4.2      13.2    3.57      51.0        3,304       1.5     3.2   11.1   13.0   24.1

 Alkhaleej Trng            36.70      -1.9     -1.1      -10.3     49.30 - 33.40      78        2,871     0.95      1.4      12.4    2.96      41.3         551        1.5     2.3    8.7    9.7   18.8

 Gas&Industrialization     19.15      -0.3     -0.5      -18.2     24.75 - 18.00      75        1,439     0.80      2.6      N/A     N/A       68.2        1,436       0.9     1.4   10.1    7.4   10.7

 Saudi Electricity         15.45       3.0         5.8   37.3      15.45 - 10.50    8,476     128,517     0.53      4.5      42.6    0.36      17.2       64,374       2.5     1.3    7.4    0.9    3.1

 SAVOLA Group              33.90      -0.9     -0.9      12.3      38.30 - 27.50      575      19,565     0.94      2.9      14.8    2.30      73.9       16,950       0.9     2.4   10.2    6.4   16.1

 Food                      16.20      -0.3         0.0   -18.8     23.95 - 15.00      266       4,304     1.08      0.0      19.9    0.81     100.0         324        4.4     1.7   25.8    7.8    8.5

 SADAFCO                   39.60      -1.3         6.2    -6.2     55.25 - 33.50      77        3,064     0.93      7.6       6.2    6.35      58.2        1,287       1.2     2.0   10.3   21.3   32.4

 Almarai                  204.50       0.1         1.1   23.9    220.00 - 153.50      124      25,210     0.76      2.0      18.8   10.87      44.8       23,518       3.7     4.4   14.7   10.3   22.1

 Anaam Holding             39.40       1.0     -2.5      -34.3     84.50 - 34.60      392      15,344     1.04      0.0      N/A     N/A      100.0         429        5.7     3.7    N/A   -0.1   -0.2
                                                  -
 HB                        40.00      -4.1               26.2      45.60 - 30.10      752      30,647     0.92      2.5      16.0    2.49      44.5        1,143       1.8     2.4   18.0   10.6   13.3
                                               10.1
 HERFY                     76.50      -1.0     -2.5       N/A      63.25 - 51.00       7         537      0.56      2.9      17.2    0.00      30.0        2,066       N/A     N/A    N/A   N/A    N/A

 NADEC                     24.95      -0.2     -2.2      -26.0     41.70 - 24.00      70        1,740     0.78      0.0      N/A     N/A       48.8        1,497       1.1     1.5    9.4   -0.4   -0.9

 Qassim Agriculture         8.45      -1.2     -3.4      -18.0      11.75 - 7.90      351       2,979     0.89      0.0      N/A     N/A      100.0         423        5.7     1.1   51.6   -2.4   -3.3

 Tabuk Agriculture         18.10       0.3         3.4   -32.2     29.00 - 16.35      151       2,708     0.96      2.8      N/A     N/A       72.5         362        2.7     1.0   10.9    0.0    0.0

Source: Tadawul Stock Exchange, Official Website




                                                                                                    11
Saudi Stock Market Report
13 October 2010
                                                                 Tadawul Market Performance & Valuation Table
                         Current   Change     MTD      YTD     52-Week         Volume      Value                Dividend            EPS      Free      Market Cap    Price/                 ROA     ROE
            Company                                                                                      Beta                PE                                               P/B    P/CF
                          Price      (%)       %        %       Range           (‘000)   (SAR ‘000)             Yield (%)          (SAR)   Float (%)   (SAR ‘mn)    Revenue                 (%)     (%)

 Saudi Fisheries          38.80      -1.5      -4.2   -26.1    70.25 - 37.20       49       1,928        1.00      0.0      N/A     N/A       38.5          776        7.3     5.7   N/A    -17.0   -23.4

 Sharqiya Dev Co          34.70      -1.1      -2.8    -8.4    52.00 - 32.30       60       2,101        0.96      0.0      N/A     N/A      100.0          260        8.0     3.2   N/A     -6.3    -8.7

 Jouff Agriculture        30.90      -1.6      1.0    -14.4    39.60 - 26.90       10        321         0.84      6.5       9.7   3.18       95.2          618        2.5     1.2    5.8   10.3    11.1

 Bishah Agriculture       77.50       0.0      0.0     0.0     77.50 - 77.50        0          0         0.00      0.0      16.0   4.84      100.0          388       N/A      6.9   N/A     N/A     N/A

 Jazan Development        14.30       0.0      -1.0    6.3     16.05 - 10.95      200       2,835        0.90      0.0      N/A     N/A       98.8          715       10.2     1.2   58.2    -3.8    -4.3

 STC                      38.20      -0.8      -1.3   -13.4    52.50 - 34.00    1,226      46,889        0.75      7.9       8.3   4.61       16.3        76,400       1.5     1.5    4.1    8.2    17.9

 Etihad Etisalat          55.25      -0.5      3.8    27.3     56.00 - 40.50      520      28,666        0.86      2.3      11.1   4.96       58.5        38,675       2.6     3.0    8.3   10.4    26.8

 ZAIN KSA                  8.00       0.0      1.3    -21.2     11.30 - 7.75    1,458      11,609        0.76      0.0      N/A     N/A       45.0        11,200       2.6     1.5   N/A    -10.0   -37.8

 Atheeb Telecom           14.80      -0.7      -2.0    -8.4    18.40 - 14.10      155       2,297        0.43      0.0      N/A     N/A       35.0         1,480      N/A     N/A    N/A     N/A     N/A

 Tawuniya                 97.75       1.8      2.4    36.2    102.50 - 45.00       93       8,970        1.06      4.1      10.7   9.17       53.4         4,888       1.9     3.5   15.8    6.3    32.4

 Malath Insurance         16.10       2.2      -2.1   -38.8    32.70 - 15.05      372       5,922        1.08      0.0      40.4   0.40       47.5          483        1.8     1.9   51.8    1.3     4.7

 MEDGULF                  25.90       0.8      2.8     5.7     34.50 - 21.10      121       3,117        0.89      2.9      11.1   2.33       25.0         2,072       1.2     2.2   N/A     5.0    19.8

 ALLIANZSF                21.85       0.0      -3.3   -72.5    59.56 - 21.05       75       1,628        1.06      0.0      N/A     N/A       31.0          219        1.2     1.4   N/A     -3.3   -12.5

 SALAMA                   29.00      -0.7      -5.5   -44.8    75.75 - 27.70       44       1,291        1.30      0.0      51.8   0.56       40.0          290        1.4     3.7   21.9    4.3    14.5

 Walaa Insurance          17.80       1.1      -4.0   -33.6    34.30 - 16.55      291       5,231        0.84      0.0      N/A     N/A       40.0          356        4.3     2.4   N/A     -3.3    -8.0

 Arabian Shield           23.20       8.7     13.7    -15.3    34.50 - 18.50      792      17,830        1.00      0.0      53.6   0.43       40.0          464        3.6     2.2   N/A     1.8     4.1

 SABB Takaful             18.35      -0.3      -3.7   -45.4    43.00 - 17.40      335       6,167        0.62      0.0      N/A     N/A       35.0          624        5.4     1.9   N/A     -1.2    -3.1

 SANAD                    17.90       0.3      -4.0   -34.4    34.80 - 17.00      349       6,301        0.89      0.0      N/A     N/A       40.0          358        2.3     2.4   N/A     0.5     1.7

 SAICO                    30.00      -0.3      -5.1   -57.1    92.00 - 29.00       43       1,288        1.22      0.0      N/A     N/A       40.0          300        2.9     3.6   N/A     -0.6    -2.7

 Saudi Indian             29.00       0.7      -5.8   -44.8    71.75 - 26.90       59       1,690        1.25      0.0      N/A     N/A       40.0          290        6.0     6.6   N/A     -9.5   -40.7

 Gulf Union               18.60       1.1      -5.1   -35.0    33.10 - 18.35      158       2,929        0.75      0.0      N/A     N/A       40.0          409       N/A      2.2   N/A     -1.3    -1.4

 ATC                      72.00      -0.7      -4.0   -27.3   132.00 - 68.75       98       7,027        0.62      0.0      N/A     N/A       26.5          720      240.7    10.2   N/A     -4.1   -14.1

 Al-Ahlia                 56.50      -0.4      -5.4   -25.4   110.00 - 45.90       51       2,897        0.71      0.0      N/A     N/A       40.0          565        6.9    12.4   N/A     -9.5   -55.7

 ACIG                     29.00       0.0      -6.1   -46.3    72.50 - 28.20       51       1,469        1.21      0.0      N/A     N/A       40.0          290       60.4     7.2   N/A    -25.4   -52.5

 AICC                     18.20       0.3      -4.0   -34.8    33.50 - 16.90      119       2,176        1.23      0.0      N/A     N/A       40.0          364       N/A      2.4   N/A     -5.3    -7.9

 Trade Union              17.65       0.6      -6.4   -26.6    40.70 - 15.55      180       3,191        0.76      0.0      N/A     N/A       42.0          441       N/A      1.8   N/A     -0.8    -0.9

 Sagr Insurance           21.15      -0.5      -4.3   -60.5    83.75 - 21.00      343       7,283        1.03      0.0      N/A     N/A       42.0          423       N/A      2.1   N/A     -2.2    -2.3

 UCA                      23.55      -0.2      -4.3   -28.6    44.40 - 23.10       76       1,790        0.99      0.0      N/A     N/A       40.0          471       N/A      2.7   N/A     -0.1    -0.1

 Saudi Re                  8.75       0.0      -1.7   -24.9     14.60 - 8.60      114        995         0.85      0.0      N/A     N/A       40.0          875       32.4     0.9   N/A     -1.0    -1.2

 Bupa Arabia              20.20      -1.0      1.0    -20.2    32.60 - 17.55      368       7,349        1.06      0.0      17.3   1.17       40.0          808        0.6     1.9   N/A     2.8    11.3
Source: Tadawul Stock Exchange, Official Website


                                                                                                    12
Saudi Stock Market Report
13 October 2010
                                                               Tadawul Market Performance & Valuation Table
                        Current   Change      MTD     YTD     52-Week         Volume      Value                Dividend            EPS      Free      Market Cap    Price/                ROA    ROE
           Company                                                                                      Beta               PE                                                P/B   P/CF
                         Price      (%)        %       %       Range           (‘000)   (SAR ‘000)             Yield (%)          (SAR)   Float (%)   (SAR ‘mn)    Revenue                (%)    (%)

 Weqaya Takaful          19.75       2.3       -1.7   -60.3   54.75 - 17.50     376        7,393        1.24      0.0      N/A     N/A       40.0          395       N/A     2.3   N/A    -5.1   -5.6

 ARCCI                   35.30      -0.6       -3.0   -45.3   81.25 - 33.20      12         438         1.09      0.0      N/A     N/A       30.0          706       38.4    4.5   N/A    -5.1   -9.2

 ACE                     33.10       0.9       -4.6   -39.8   72.75 - 31.30      44        1,469        1.52      0.0      N/A     N/A       40.0          331       N/A     3.7   N/A    -0.8   -0.8

 AXA-Cooperative         19.50       0.8       -2.5   -36.5   40.30 - 17.50     112        2,182        1.13      0.0      N/A     N/A       40.0          390       29.6    2.0   N/A    -0.6   -0.9

 Gulf General            41.60       0.7       3.2     N/A    29.00 - 10.00     548       22,603        0.65      0.0      N/A     N/A       40.0          832       N/A     N/A   N/A    N/A    N/A

 Buruj                   28.90       0.4       -4.9    N/A    42.00 - 10.00      91        2,629        1.58      0.0      N/A     N/A       40.0          376       N/A     N/A   N/A    N/A    N/A

 ALALAMIYA               26.50       1.2       -6.4   -24.3   43.00 - 22.70     127        3,346        1.59      0.0      N/A     N/A       30.0          530       N/A     N/A   N/A    N/A    N/A

 Solidarity              13.15       0.4       0.4     N/A    13.25 - 12.10    1,581      20,765        0.00      0.0      N/A     N/A       40.0          730       N/A     N/A   N/A    N/A    N/A

 WATANiYA                48.30       1.3       -3.2    N/A    57.25 - 42.30      50        2,400        0.00      0.0      N/A     N/A       30.0          483       N/A     N/A   N/A    N/A    N/A

 AMANAINSURANCE          14.35      -0.7       -3.0    N/A    16.60 - 13.25     572        8,213        0.00      0.0      N/A     N/A       40.0          459       N/A     N/A   N/A    N/A    N/A

 SARCO                   35.00       1.2       0.0    -29.7   57.75 - 33.00     259        9,127        1.05      1.4      43.1   0.81      100.0          525       N/A     1.6   N/A     3.6    3.7

 Saudi Advanced          12.75      -0.8       0.4     -8.9   15.05 - 11.25     551        7,029        0.97      0.0      21.5   0.59       89.3          551       18.0    0.7   15.6    3.3    3.3

 Al Ahsa for Dev.         9.90      -0.5       -1.0    -8.3    15.25 - 9.50     445        4,385        1.01      0.0      85.3   0.12      100.0          485       26.0    1.1   65.3    1.0    1.4

 SISCO                   17.30       3.0       4.8    16.5    17.40 - 11.95    1,433      24,449        0.97      0.0      N/A     N/A       83.1        1,176        6.3    1.6   43.5    0.3    0.9

 Assir                   13.55       0.4       3.0    -10.9   19.00 - 12.60     704        9,450        1.09      5.5      18.7   0.73       50.1        1,713        0.9    0.7   12.8    2.7    4.0

 Al Baha                 12.45      -1.2       -6.0   -30.8   24.35 - 11.85     336        4,208        1.01      0.0      N/A     N/A      100.0          187      771.7    1.9   N/A    -6.8   -8.5

 Kingdom                  7.90       0.0       -1.3   68.1     13.43 - 7.45     179        1,405        0.53      0.0      62.2   0.13        5.0       49,770       13.1    2.0   59.7    1.2    1.9

 BCI                     30.00      -1.6       -1.6    -0.7   33.70 - 25.70      74        2,217        1.04      5.0      12.0   2.51       78.6          825        1.6    2.3   10.4   10.8   17.9

 MAADEN                  23.15      -0.6       6.4    33.8    23.75 - 15.80    4,903     112,521        1.48      0.0      49.3   0.47       36.1       21,414       33.0    1.3   42.9    1.4    2.7

 Astra Indust            41.00      -1.7       3.0    16.1    43.30 - 31.10      31        1,284        0.82      3.0      13.6   3.01       31.1        3,039        3.0    2.0   N/A     7.8   14.1

 AlSorayai Group         25.80       0.0       -0.8    N/A    36.50 - 24.65     131        3,365        1.02      0.0       9.4   2.74       30.0          774        1.8    1.9   N/A     3.6    9.4

 SHAKER                  66.50       0.0       -4.3    N/A    71.00 - 48.40      56        3,748        0.00      0.0      16.3   4.09       30.0        2,328       N/A     N/A   N/A     9.8   17.7

 Pharmaceutical          30.90       0.0       0.3     2.7    37.60 - 27.50     422       12,918        0.96      3.7      14.9   2.07       65.0        2,424        2.4    1.0   13.1    5.6    6.7

 Glass                   25.00       0.0       0.0    -18.0   27.58 - 19.30    1,348      34,283        0.97      1.7      12.3   2.04       76.6          625        5.5    1.3   10.6    9.6   10.8

 FIPCO                   27.00       0.4       -2.5   -35.3   45.70 - 24.80      61        1,644        0.97      0.0      17.5   1.54       85.3          311        2.0    2.3   N/A    10.2   13.2

 Maadaniyah              20.75       0.0       0.7    -18.0   28.70 - 18.25     134        2,781        1.01      2.4      17.3   1.20       64.5          530        1.6    1.5   16.8    6.0    8.8

 Saudi Chemical          48.20       0.0       1.0    16.4    49.50 - 34.60      60        2,891        0.90      8.3      10.9   4.43       97.0        3,048        1.8    2.3    9.7   14.9   25.3

 SPM                     51.75       0.0       0.0     -4.2   60.50 - 49.70      20        1,031        0.91      2.4      13.6   3.80       49.9        1,553        2.2    2.9   N/A     8.3   21.3

 AlAbdullatif            29.20      -1.4       -3.9   -29.5   46.40 - 27.50      72        2,097        0.16     12.0      13.4   2.17       30.0        2,373        2.2    2.0    9.0   11.9   15.0

 Saudi Export            23.25      -0.2       -7.0   -36.0   42.50 - 21.95     109        2,531        1.06      0.0      N/A     N/A      100.0          251        1.8    2.5   N/A    -4.1   -5.5

Source: Tadawul Stock Exchange, Official Website

                                                                                                   13
Saudi Stock Market Report
13 October 2010
                                                                    Tadawul Market Performance & Valuation Table
                         Current   Change     MTD        YTD       52-Week         Volume      Value                Dividend            EPS      Free      Market Cap    Price/                ROA    ROE
            Company                                                                                          Beta               PE                                                P/B   P/CF
                          Price      (%)       %          %         Range           (‘000)   (SAR ‘000)             Yield (%)          (SAR)   Float (%)   (SAR ‘mn)    Revenue                (%)    (%)

 MMG                       15.95      0.0      -1.2      -33.5     29.70 - 15.55      209       3,324        1.01      4.7      43.8   0.36       46.2        1,994       1.2     1.1    9.9    1.5     2.6

 SSP                       21.30      2.4     -12.3      -37.5     36.50 - 20.75      608      12,846        0.68      9.4      15.0   1.42       31.4        1,086       1.9     1.3   N/A     9.1    10.4

 Ceramic                  143.75     -1.2          2.9   28.1    147.50 - 110.00       10       1,465        0.88      2.1      16.3   8.81       63.6        3,594       3.9     4.4   12.7   11.8    24.5

 Gypsum                    27.10     -2.2      -9.7      -29.2     45.50 - 27.00      161       4,386        0.93      9.2      15.1   1.80       53.9         858        5.0     1.7    7.7   12.1    13.7

 Cables                    15.10     -0.7      -1.6      -38.4     35.20 - 13.40      402       6,063        1.14      5.0      N/A     N/A       81.2        1,148       0.5     1.0    5.7   -0.4    -1.3

 Saudi Industrial           8.60      0.0      -0.6       -6.0      10.35 - 8.00      121       1,031        0.97      0.0       3.5   2.49      100.0         344        1.5     1.1   41.0   19.3    31.4

 Amiantit                  19.15      2.4          1.9   -16.9     27.10 - 16.85      231       4,358        1.11      5.2      10.6   1.81       87.5        2,212       0.7     1.4    4.3    5.4    13.4

 Pipes                     24.25      0.8     -14.9      -20.0     36.80 - 23.80      209       5,053        1.05      0.0      41.8   0.58       85.8         764        2.1     1.0   13.1    1.4     2.4

 Zamil Industrial          46.10      0.0          0.7   -17.3     55.25 - 39.80       26       1,219        1.08      2.4      11.7   3.93       75.6        2,075       0.5     1.7    5.9    5.0    19.0

 AL Babtain                31.70      1.3      -6.2       -8.1     43.40 - 31.20       77       2,439        0.95      4.7      12.5   2.53      100.0        1,284       1.3     2.3    8.9    8.5    18.2

 SVCP                      57.00     -0.4      -3.0      38.3      69.00 - 39.50       30       1,682        0.90      3.9      12.2   4.67       56.0         855        3.6     3.8   N/A    15.6    31.5

 MESC                      18.00     -1.1      -3.2      -48.9     43.20 - 17.20      536       9,664        0.99      5.6      N/A     N/A       48.0         720        0.6     1.2    8.3    0.2     0.5

 Red Sea                   40.40     -0.5          0.0   -34.0     66.25 - 36.50      241       9,761        1.03      5.0      14.2   2.85       30.0        1,212       1.7     1.8    7.1    9.4    12.8

 Real Estate               25.00      0.0      -0.4       -3.1     29.90 - 21.00        7        187         0.98      3.0      40.7   0.61       30.6        3,000      16.6     1.0   26.9    2.3     2.4

 Taiba                     15.10      0.3      -4.1      -10.1     17.50 - 14.90      101       1,529        0.79      7.9      33.2   0.46       69.0        2,265      10.8     0.8   21.7    2.0     2.5

 Makkah                    30.80      0.3          3.4   14.5      31.40 - 26.00      188       5,773        0.75      4.9      24.2   1.21       83.5        5,076      18.4     1.4   21.8    5.2     5.7

 Arriyadh Development      15.60      1.0          1.0   30.0      15.95 - 11.80      321       4,962        0.93      4.8      16.1   0.97       99.9        1,560       9.8     1.1   14.2    6.1     6.8

 Emaar E .C                 7.65     -0.7      -2.5      -20.3      11.40 - 7.65    1,297       9,946        1.12      0.0      N/A     N/A       30.0        6,503      21.8     0.8   N/A    -3.4    -4.1

 Jabal Omar                17.25      0.0      -5.0       -8.5     21.60 - 17.05      238       4,081        0.52      0.0      N/A     N/A       27.0       11,582       N/A     1.7   N/A    -0.4    -0.4

 Dar Al Arkan               9.45     -0.5      -7.4      -32.7      17.25 - 9.35    2,063      19,432        0.60     10.6       5.3   1.77       61.5       10,206       2.0     0.7    4.7    8.3    13.8

 KEC                        8.00     -1.2      -8.0       N/A       11.05 - 7.95    1,947      15,620        0.00      0.0      N/A     N/A       30.1        2,714       N/A     N/A   N/A    N/A     N/A

 Shipping                  16.50     -0.6      -3.5       -7.0     21.95 - 16.20      543       8,967        0.98      6.1      13.9   1.18       66.4        5,198       2.7     1.1    7.1    3.6     7.4

 SAPTCO                     7.50      0.0      -0.7       -8.5       9.05 - 7.30      457       3,433        0.81      0.0      21.3   0.35       83.6         938        1.3     0.7    5.4    2.5     3.1

 Mubarrad                  13.60      0.0      -1.8      -37.8     26.80 - 12.55      104       1,411        0.94      0.0      N/A     N/A      100.0         245        4.9     1.5   14.3   -2.1    -2.7

 Budget Saudi              58.25      0.4      -0.4       -3.3     74.50 - 49.00       22       1,291        0.91      3.4      11.9   4.89       43.6        1,066       2.1     2.6    3.3   10.9    21.6

 Tihama                    22.60     -0.4      -3.2       -9.1     32.20 - 21.00       30        681         0.90      5.3      31.1   0.73      100.0         339        2.9     1.5   30.4    3.6     4.8

 SRMG                      19.90      0.0          0.3   -28.9     31.20 - 17.75        3         51         0.79      2.5      24.8   0.80       60.5        1,592       1.5     1.3   16.3    3.3     5.6

 SPPC                      13.00      0.0      -1.1      -21.2     17.10 - 12.50       51        656         0.57      0.0      12.6   1.03       47.5         780        2.0     1.0    7.9    7.2     9.1

 Hotels                    27.10      0.0      -0.4      -11.4     32.70 - 26.00       33        888         0.81      5.5      20.4   1.33       52.7        1,870       7.5     1.2    4.7    5.0     5.7

 Shams                     21.45      0.0      -4.2      -37.8    42.50 – 19.35       104       2,236        0.84      0.0      N/A     N/A      100.0         218       16.3     3.1   N/A    -2.5    -2.7

Source: Tadawul Stock Exchange, Official Website



                                                                                                        14
Saudi Stock Market Report
13 October 2010
                                       Definition - Technical Indicators
       Candlestick Patterns, DOJI
       DOJI is a form of candlestick pattern. It normally suggests major up and down movements. Trading above the DOJI is positive
       for the market. Trading below the DOJI value indicates bearish momentum.

       Hammer
       A small body (white or black) near the high with a long lower shadow with little or no upper shadow. This indicates a bullish
       pattern during a downtrend.
       Inverse-black-hammer: a bottom reversal signal with confirmation the next trading day.

       Moving Average, SMA (Simple Moving Average)
       Normally we use the 10, 20, 50 and 125 day SMA to identify the trend. A cross-over of the short-term moving average with the
       long-term moving average is positive for the market. The reverse is the case on the negative side.

       DEMA - Double-smoothed Exponential Moving Average
       We use the 10, 20 and 40 DEMA to identify a trend. A cross-over of the 10 and 20 DEMA gives a positive indication. A cross-
       over of the 20 and 10 DEMA gives a negative indication. As long as a stock or index trades above the 40 DEMA, this gives a
       positive indication for the stock or index. Trading below the 40 DEMA may create downside for a short time.

       MACD - Moving Average Convergence and Divergence
       The MACD has its own line period and another signal line; the dotted line indicates the signal line. When the MACD crosses the
       signal line from below and trades above it, it gives a positive indication. The reverse is the situation for a bearish trend.

       RSI - Relative Strength Index
       When the RSI remains below 30, it indicates that a market or sttock is in oversold territory. When the RSI is above 70, it
       indicates that the market/stock is in an overbought level.

       Price ROC
       When the Price ROC is above zero it gives positive signals for an index or stock. When the price ROC is below zero, it gives a
       negative signal for the index or stock.

       Stochastic Oscillators
       When Stochastic Oscillators are below zero, the stock is in an oversold zone and some bounce back is expected. When
       Stochastic Oscillators are above zero, the stock is in an overbought zone and some correction is expected.

       Williams %R
       When Williams %R is above zero, the stock is in an overbought zone and some correction is expected. When Williams %R is
       below zero, the stock is in an oversold zone and some bounce back is expected.

       CCI (Commodity Channel Index)
       While the CCI was originally designed for commodities, the indicator also works very well with stocks and mutual funds.
       There are two methods of interpreting the CCI:
       1. Looking for divergences: A popular method of analyzing the CCI is to look for divergences in which the underlying security is
       making new highs while the CCI is failing to surpass its previous highs. This classic divergence is usually followed by a
       correction in the security's price.
       2. As an overbought/oversold indicator
       The CCI usually oscillates between +/-100. Readings outside these ranges imply an overbought/oversold condition.




                                                                          15
Saudi Stock Market Report
13 October 2010
       Fibonacci Retracements
       Fibonacci Retracements are based on a trend line that we draw between a significant trough and peak. If the trend line is
       rising, the retracement lines will project downward; if the trend line is falling, the retracement lines will project upward. The
       number of Fibonacci Retracement levels appearing on the chart depends on the range of the y-axis. If we want to see all nine
       retracement levels, we may need to manually adjust the minimum and maximum values of the y-axis. Major Fibonacci Levels
       are 23.6%, 38.2%, 50%, 61.8% and 100%.

       Whipsaw
       A whipsaw is a situation in which a share price heads in one direction, but then is followed quickly by a movement in the
       opposite direction. The origin of the term is the push and pull action used by lumberjacks to cut wood with a type of saw of the
       same name.

       Gravestone Doji
       In a Japanese Candle Stick chart, this is a doji candle where prices rallied but came back and closed at the level they started;
       the open and close are equal.

       Inside Bar
       An inside bar is a bar, which is completely within the range of the preceding bar, i.e. it has a higher low and lower high than the
       bar immediately before it. An inside bar indicates a time of indecision or consolidation. On a smaller time frame, it will look like a
       triangle. Inside bars often occur at tops and bottoms, in continuation flags, and at key decision points like major
       support/resistance levels and consolidation breakouts.

       Big Bar
       A big bar is a bar, which is bigger than the preceding bar, i.e. it has a lower low and higher high than the bar immediately before
       it. Normally, after, forming a big bar, for a coming few sessions, the stock may move in the range of the high and low of the big
       bar. Breaking out or breaking down will give a fresh bullish or bearish pattern.

       Higher High
       This implies that today’s intra-day high is higher than the intra-day high(s) of the previous session(s).

       Lower High
       This implies that today’s intra-day high is lower than the intra-day high(s) of the previous session(s).

       Higher Low
       This implies that today’s intra-day low is higher than the intra-day low(s) of the previous session(s).

       Lower Low
       This implies that today’s intra-day low is lower than the intra-day low(s) of the previous session(s).

       Triangle
       This is a technical analysis pattern created by drawing trend lines along a price range that gets narrower over time because of
       lower tops and higher bottoms. Variations of a triangle include ascending and descending triangles. Technical analysts see a
       breakout of this triangular pattern as either bullish (on a breakout above the upper line) or bearish (on a breakout below the
       lower line).

       Standard Error Channel
       Parallel lines drawn higher and lower from the Linear Regression Trend-line form Standard Error Channels. The distance at
       which they are traced is a certain number of standard errors over or above the linear regression trend-line. The characteristic of
       the price fluctuations is its movement from one extreme to another and it depends on the traders' common opinion. Prices trend
       up in the optimistic market whether a pessimistic one causes prices reduction. The prices are drawn to a certain equilibrium
       point existing for each issue. The location of such point can be found out by using the Linear Regression analysis whether
       Standard Error Channel analysis presents the data about the cyclic direction of the prices as well as the forecasts for possible
       trend changes.




                                                                         16
Saudi Stock Market Report
13 October 2010
       Contact Us
       Dr. Saleh Alsuhaibani
       Head of Research
       Tel : +966 1 2119434
       alsuhaibanis@alrajhi-capital.com


       Al Rajhi Capital
       Research Department
       P.O Box 5561
       Riyadh 11432
       Saudi Arabia
       Tel : +966 1 2119271
       Fax : +966 1 2119368
       research@alrajhi-capital.com
       www.alrajhi-capital.com
       Al Rajhi Capital is licensed by the Saudi Arabian Capital Market Authority, No. 07068/37.


       Disclaimer

       This research document has been prepared by Al Rajhi Capital Company (“Al Rajhi Capital”) of Riyadh, Saudi Arabia. It has
       been prepared for the general use of Al Rajhi Capital’s clients and may not be redistributed, retransmitted or disclosed, in whole
       or in part, or in any form or manner, without the express written consent of Al Rajhi Capital. Receipt and review of this research
       document constitute your agreement not to redistribute, retransmit, or disclose to others the contents, opinions, conclusion, or
       information contained in this document prior to public disclosure of such information by Al Rajhi Capital. The information
       contained was obtained from various public sources believed to be reliable but we do not guarantee its accuracy. Al Rajhi
       Capital makes no representations or warranties (express or implied) regarding the data and information provided and Al Rajhi
       Capital does not represent that the information content of this document is complete, or free from any error, not misleading, or fit
       for any particular purpose. This research document provides general information only. Neither the information nor any opinion
       expressed constitutes an offer or an invitation to make an offer, to buy or sell any securities or other investment products related
       to such securities or investments. It is not intended to provide personal investment advice and it does not take into account the
       specific investment objectives, financial situation and the particular needs of any specific person who may receive this document.

       Investors should seek financial, legal or tax advice regarding the appropriateness of investing in any securities, other investment
       or investment strategies discussed or recommended in this document and should understand that statements regarding future
       prospects may not be realized. Investors should note that income from such securities or other investments, if any, may fluctuate
       and that the price or value of such securities and investments may rise or fall. Fluctuations in exchange rates could have
       adverse effects on the value of or price of, or income derived from, certain investments. Accordingly, investors may receive back
       less than originally invested. Al Rajhi Capital or its officers or one or more of its affiliates (including research analysts) may have
       a financial interest in securities of the issuer(s) or related investments, including long or short positions in securities, warrants,
       futures, options, derivatives, or other financial instruments. Al Rajhi Capital or its affiliates may from time to time perform
       investment banking or other services for, solicit investment banking or other business from, any company mentioned in this
       research document. Al Rajhi Capital, together with its affiliates and employees, shall not be liable for any direct, indirect or
       consequential loss or damages that may arise, directly or indirectly, from any use of the information contained in this research
       document.

       This research document and any recommendations contained are subject to change without prior notice. Al Rajhi Capital
       assumes no responsibility to update the information in this research document. Neither the whole nor any part of this research
       document may be altered, duplicated, transmitted or distributed in any form or by any means. This research document is not
       directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of or located in any locality,
       state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or which would
       subject Al Rajhi Capital or any of its affiliates to any registration or licensing requirement within such jurisdiction.




                                                                           17

				
Sergio Fernandes Sergio Fernandes
About